On August 24th, Blue Sail Medical released its 2026 semi annual report, which showed a revenue of 3.705 billion yuan in the first half of the year, a year-on-year increase of 29.67%; Net profit of 210 million yuan, a year-on-year increase of 287.87%; The net profit attributable to the parent company was 96 million yuan, a year-on-year increase of 179.72%.

Blue Sail Medical started with medical gloves. In 2018, this low value consumables company made a bold transformation by investing billions of yuan in cross-border acquisition of Singapore's Parkson International, stepping into the field of high-value cardiovascular and cerebrovascular consumables. Eight years have passed, and after experiencing global public health events and domestic centralized procurement, the newly revitalized high-value consumables have gradually become the second curve supporting the company's steady growth.

Blue Sail Medical's Cardiovascular and Cerebrovascular Division achieved a net profit of approximately 90 million yuan in the first half of 2026, continuing the trend of large-scale profitability since turning losses around in 2025. After experiencing a cliff like impact from domestic centralized procurement, the gross profit margin has steadily rebounded to around 65%, indicating that products are selling more and at a higher value.

Blue Sail Medical's current strategy is very clear: one hand is low value consumables such as gloves, which have both cyclical and growth attributes, cash cows, and steady progress; On the other hand, high-value consumables such as heart stents, drug balloons, and heart valves have high technical barriers and great growth potential. The two sectors complement each other, and when one sector encounters market cycle challenges, the other sector can provide stronger support. Simultaneously divesting non core businesses, resources are increasingly concentrated in two main channels.

Cardiovascular and cerebrovascular diseases are no longer just about 'burning money'

When it went public in 2010, Lanfan Medical's main business was disposable medical gloves, which belonged to low value medical consumables. In the medical device industry, low value consumables and high-value consumables are two different worlds - the former competes for cost and scale, while the latter competes for technology and barriers.

In 2018, Blue Sail Medical did something that seemed quite radical at the time: a cross-border acquisition of Singapore's Parkson International. Baosheng International is the fourth largest global enterprise in the research, development, production, and sales of coronary stents, with products covering approximately 100 countries and regions.

A glove factory has purchased a heart stent company. In the following eight years, the Cardiovascular and Cerebrovascular Division of Blue Sail Medical experienced a U-shaped curve: high profit growth from 2018 to 2019, but suffered double blows from domestic centralized procurement and global public health events from 2020 to 2021, with revenue falling to the bottom. After 2022, it will gradually emerge through research and development of innovative products and global sales channels.

By 2025, the Cardiovascular and Cerebrovascular Division will turn losses around in one fell swoop. In the first half of 2026, the net profit will be about 90 million yuan, and the revenue will increase by about 12% year-on-year. After eight years of deep cultivation, we have begun to steadily generate blood.

The centralized procurement of heart stents is a hurdle that Blue Sail Medical's cardiovascular and cerebrovascular business cannot avoid. In 2020, the country's first centralized procurement of coronary stents, with prices ranging from tens of thousands of yuan to several hundred yuan, had a significant impact on the entire industry. In May 2026, the country organized the second round of follow-up procurement for coronary stents, and three products from Blue Sail Medical's subsidiary, Jiwei Medical, were selected for selection. The selected prices are 847 yuan, 946 yuan, and 947 yuan respectively - compared to the previous centralized procurement, the prices have stabilized and even rebounded. After the implementation of this centralized procurement, it will be conducive to creating conditions for further improving the gross profit level of the company's coronary stent business, "Lanfan Medical said in the announcement.

In addition to heart stents, Blue Sail Medical has made advanced platform layout in its product line, forming a relatively complete product matrix.

Baiteng Youmeimulolimus coated coronary artery balloon dilation catheter (BA9) ™ The drug coated balloon is the first domestically produced balloon coated with a tyrosine drug, and is currently the only domestically approved balloon with a dual indication of in stent restenosis and 2.0mm-2.75mm primary coronary artery disease. In January 2026, this product successfully won the bid for Group A Rule 2 in the sixth batch of national high-value medical consumables procurement, and has further growth potential in the future.

The intracoronary shock wave therapy system (IVL system) is used for pre-treatment and balloon dilation of preoperative coronary calcification lesions, SoniCracker^® The IVL system will complete domestic certification in 2024 and then be sold in the Asia Pacific region using Lithonic's same origin technology ™ The IVL system will obtain the EU CE MDR certification in January 2026 and be sold in Europe.

60% of income comes from overseas

The most unique aspect of Lanfan Medical's cardiovascular and cerebrovascular business is not in China, but overseas. In the first half of 2026, about 60% of the revenue of the Cardiovascular and Cerebrovascular Division comes from overseas, a year-on-year increase of about 25%. This is rare in A-share medical device companies.

What supports this number is a global network. When acquiring Parkson International in 2018, Blue Sail Medical not only obtained a bunch of patents and products, but also a ready-made global sales network. Afterwards, Blue Sail Medical acquired NVT from Germany, a company with extensive experience in transcatheter aortic valve replacement (TAVR).

At present, the global sales channels of Blue Sail Medical's Cardiovascular and Cerebrovascular Division have covered over 10000 hospitals.

ALLEGRA from NVT Germany ® The series TAVR system is the fifth product in the world to obtain the EU CE registration certificate. In the first half of 2026, ALLEGRA ® The series of products have reached a new historical high in sales, with sales increasing by over 150% compared to the same period last year and over 35% compared to the second half of 2025. They have achieved breakthrough growth for multiple consecutive quarters and have been approved for market and clinically applied in over 45 countries and regions worldwide.

At the European Congress of Interventional Cardiology (EuroPCR 2026), the heavyweight clinical results announced by Blue Sail Medical showed that, ALLEGRA ® In a randomized controlled study targeting female patients with severe aortic stenosis, the TAVR system showed significant improvements in multiple key indicators compared to international competitors, including Edward Life Sciences, a global leader in structural heart disease.

Overseas markets are not only a source of income, but also a buffer against risks. When the domestic market faces pressure from centralized procurement, overseas markets are expected to contribute higher profits.

Helping others go out to sea and also helping oneself build an ecosystem

The globalization of Lanfan Medical is not just about selling its own products. It is still helping other Chinese companies go global.

Blue Sail Medical's overseas team represents Shenzhen Beixin's intravascular ultrasound system (IVUS), Shanghai Baixin'an renal artery radiofrequency ablation system (RDN) and other innovative domestic device products. Among them, Shenzhen Beixin's products have been sold in more than 10 countries and regions overseas.

Relying on the over 100 localized commercial teams owned by the Cardiovascular and Cerebrovascular Division in the EMEIA (Europe and Emerging Markets) and APAC (Asia Pacific Markets) regions, Blue Sail Medical has assisted its partners in promoting products in multiple overseas advantageous countries and regions in a relatively short period of time. It not only undertakes sales functions, but also assists in completing product access and medical insurance communication matters.

In the ecosystem, there are not only agents, but also investments.

Suzhou Tongxin Medical Technology Co., Ltd., a leading artificial heart company invested and held approximately 5% of the shares by Lanfan Medical, has submitted an inquiry response for listing on the Science and Technology Innovation Board. Lanfan Medical has also obtained the agency rights for innovative technologies such as intravascular optical tomography (OCT) from Nanjing Wolfman through a "investment+agency" linkage model; In March 2026, the cooperation between the two parties was further upgraded, and Blue Sail Medical obtained the exclusive agency rights for the entire product line of Nanjing Wolfman OCT in major countries in the Asia Pacific region. The domestic cooperation expanded from coronary intervention to nerve intervention and peripheral intervention fields.

After years of globalization and deep industry cultivation, Lanfan Medical has achieved layout in the four core tracks of "coronary intervention+structural heart disease+neurological intervention+peripheral intervention", and extended its coverage of diseases such as coronary heart disease, structural heart disease, hypertension, and heart failure with cardiology as the core. It has become one of the few platform enterprises in China with the ability to provide comprehensive solutions for cardiovascular and cerebrovascular interventions. As of June 30, 2026, a total of 14 products in the neurointerventional and peripheral interventional business segments incubated and represented by Blue Sail Medical have been approved, and the commercialization matrix continues to improve.

A glove company, in eight years, has transformed itself into a global platform covering both low value and high-value medical devices. After going through storms, turning losses into profits in the first half of 2026 may just be the beginning of a new era.